Fair Lending
The government’s proposal to clamp down on unauthorised private lending practices signals a decisive move to tackle unregulated financial activities that have long preyed on vulnerable segments of the population.
The government on Tuesday said that a Rs 10,000 cap on education fund paid to the children of armed forces martyrs was not being lifted, with Minister of State for Defence Subhash Bhamre telling Parliament that the measure was accepted as part of 7th Pay Commission recommendations.
He also said that around 250 students have been reported to be affected during the current financial year.
Advertisement
“The combined amount of tuition fee and hostel charges has been capped at Rs 10,000 per month in accordance with the recommendations of the 7th Central Pay Commission as accepted by the Government. The allowance shall go up by 25 per cent each time DA rises by 50 per cent,” Bhamre said in a written reply to the Rajya Sabha.
Advertisement
Asked if any representations were received by the government on the issue, Bhamre replied in affirmative.
In response to a question on what was the response of the government, the minister said: “The reply has been sent stating that the combined amount of tuition fee and hostel charges has been capped at Rs 10,000 per month in accordance with the recommendations of the 7th Central Pay Commission as accepted by the Government.”
Asked how much money the government will save with this cap, he said out of total reported 2,679 students during the year 2017-18, 193 students were drawing more than the capped amount of tuition and hostel fee.
“Savings have been reported to be Rs.3.20 crore (approximately),” he said.
The highest amount drawn is around Rs 18.95 lakh per annum for a student, Bhamre added.
An order dated September 13 by the Department of Ex-Servicemen Welfare of the Defence Ministry said the fee for tuition and hostel expenses for children of martyrs would be capped at Rs 10,000 per month, as per the recommendations by the 7th Pay Commission. The order came into effect from July 1.
The demand for a rollback of the decision was also raised by Punjab Chief Minister Amarinder Singh, and Union Minister of State for External Affairs, General V.K. Singh (retd.), who is himself a former chief of the Indian Army.
Advertisement
